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DATE: April 19, 2021 TO: Honorable Mayor and Members of the City Council through City Manager FROM: Jason Beatty, P.E. – Director of Public Works, Public Works and Utilities Jonathan Sanglerat, P.E. – Associate Civil Engineer SUBJECT: Resolution Authorizing Award of Contract for the Petaluma Municipal Airport –

Hangar and Apron Repairs Project (Phase: Hangar Electrical Repairs & Upgrade) to DC Electric Group, Inc.

RECOMMENDATION It is recommended that the City Council adopt the attached Resolution Authorizing Award of Contract for the Petaluma Municipal Airport – Hangar and Apron Repairs Project (Phase: Hangar Electrical Repairs & Upgrade) to DC Electric Group, Inc. BACKGROUND The Petaluma Municipal Airport was founded in 1915 and is located near the eastern boundary of Petaluma. With Rooster Run Golf Club Golf Course immediately adjacent to the northeast; undeveloped federal land southeast; Sky Ranch Drive and residential housing to the southwest; its northwest frontage is on East Washington Street. The airport is rectangular in shape and covers approximately 220 acres. Home to several businesses including the Two-Niner Diner and the Petaluma Pilot Training Center, this class G general aviation airport consists of a single runway. Over the years, an accumulation of non-compliant, un-permitted, and sometimes dangerous electrical modifications have been constructed in the leased (City owned) Airport Hangars. These electrical modifications have led to issues with the current power distribution and capacity at the airport, as some tenants consume more power than originally allotted, while others are left with none. Additionally, some of the electrical modifications were made without a licensed electrician and are potential fire hazards/safety risks. As the airport does not currently charge individual tenants for power consumption, hangars which consume excess power due to their unauthorized electrical modifications, are in essence being subsidized by compliant tenants. Therefore, this is a safety and a financial issue. During an initial survey of the electrical issues in the hangars it was discovered that some of the un-permitted electrical modifications were simply additional lighting fixtures, installed by tenants to help augment the inadequate lighting levels in the hangars. The existing single-tube fluorescent lighting fixtures are not sufficient to fully illuminate the hangars.

Agenda Item 3.A

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The Hangar and Apron Repairs Project (Phase: Hangar Electrical Repairs & Upgrade) will include the correction, removal, and disposal of all non-standard electrical and lighting violations as well as any unpermitted electrical modifications within Hangar Rows 1, 3, 4, 6, 7, and 8 at the Petaluma Municipal Airport. In addition, existing fluorescent lights will be replaced with new LED vapor tight strip fixtures and additional LED strip fixtures will be installed to improve internal lighting of the individual hangars. This project will return the hangars to their standard electrical baseline, improve lighting for the tenants, reduce airport operating costs, and increase the safety of the hangars by removing potentially hazardous modifications. DISCUSSION City staff prepared design documents and specifications for the project and issued a Notice Inviting Bids on February 18, 2021. On March 18, 2021, three (3) bids were received as follows:

Name of Bidder Bid Total

*DC Electric Group, Inc. $ 77,979.56 Mike Brown Electric Co. $110,219.00 James Day Construction, Inc. dba Coastal Mountain Electric $196,358.55

Engineer's Estimate $132,000.00 *Lowest Responsible Bidder

The lowest responsible bidder, DC Electric Group, Inc. is a California commercial electrical contractor with over 10 years of experience working on similar projects. DC Electric Group, Inc. has performed similar scale projects for the City of Petaluma in the past as well as for other municipalities including the Sonoma County Airport, and the City of Livermore Airport. In addition, DC Electric Group, Inc. performed the Petaluma Airport Hangar Row 2 electrical repair pilot program. Staff verified that the Contractor possesses a valid Class C-10 (Electrical Contractor) California Contractor’s License, license number 949934, which expires on October 31, 2021 that qualifies the Contractor to perform the work. There have been no bid protests and the time to protest the proposal has lapsed. For these reasons it is recommended that Council adopt the resolution awarding the contract to the lowest and responsive bidder, DC Electric Group, Inc., in the amount of $77,979.56. Construction is currently planned to both begin and be completed in May 2021. The project is expected to have a minimal impact to traffic in the surrounding areas as the work will take place on City property or within Petaluma Airport property. Construction management and inspection services will be conducted by City staff. PUBLIC OUTREACH The project background, scope, and intent have been presented to the Airport Commission during staff comment in publicly noticed meetings, and included discussion of funding the project from Airport Operating Funds within the City’s Capital Improvement Program (CIP) budget.

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Public outreach regarding construction of the project will include notification to all stakeholders, including but not limited to Airport Hangar Tenants, within the project area prior to construction, as well as frequent updates to the City’s website for project information. This agenda item appeared on the City’s tentative agenda document on April 5, 2021, which was a publicly noticed meeting. COUNCIL GOAL ALIGNMENT The City Council has identified “A Safe Community That Thrives” as one of its key strategic initiatives for 2019-2021. Objective #1 seeks to “Maintain and enhance public safety and prepare for emergencies and disasters, through crime and fire prevention and traffic safety;” including the following Workplan Items: #74 – “Evaluate all city facilities, including our police and fire stations, and corporation yard facilities, and develop maintenance and replacement recommendations.” #78 – “Improve public safety through proactive crime and fire prevention activities.” CLIMATE ACTION/SUSTAINABILITY EFFORTS This proposed action supports the above goals, and when implemented will reduce the airport’s power consumption, as well as improve tenant and airport property safety, and improve lighting. The Petaluma Climate Action Framework Section 2, “Mitigation and Sequestration” identifies the following climate action goal, “Eliminate emissions from the building sector through zero-emission new construction (emissions embedded in materials and those emitted during construction and operation), building retrofits, appliance replacements and use of renewably generated clean electricity.” This retrofit project will address emission reduction through fixture replacements using energy efficient LED light fixtures, and will reduce the overall consumption of electricity in the leased hangars through the circuitry retrofit eliminating unauthorized and excessive power use. ALTERNATIVES If council does not authorize this resolution, the City will maintain exposure to potentially hazardous electrical modifications, lighting will be insufficient for many of the Airport Hangar tenants, and the Airport will continue paying excess power bills for unauthorized power use. Additionally, some hangar tenants will remain without power due to the large power draw from unauthorized circuits or improperly wired connections. FINANCIAL IMPACTS The total approved budget for the Hangar and Apron Repairs Project (Phase: Hangar Electrical Repairs & Upgrade, C61202014) is $259,000 (All Phases), as shown in the FY 2020/2021

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Capital Improvement Project (CIP) Budget. The following is a breakdown of the approved and proposed CIP budget:

Itemized Budget Breakdown Approved FY 20/21 CIP

Budget (Current Phase) Proposed FY 20/21 CIP Budget (Current Phase)

Approved Total Project Budget (All

Phases) Uses Planning/Environmental $0.00 $0.00 $0.00

Land & Easements $0.00 $0.00 $0.00 Design $0.00 $0.00 $20,000.00

Legal Services $0.00 $0.00 $0.00 Administration $0.00 $0.00 $0.00

Construction Contracts $100,000.00 $77,979.56 $190,000.00 Construction Management $10,000.00 $10,000.00 $25,000.00

CIP Overheads $0.00 $0,000.00 $20,000.00 Contingency $5,000.00 $27,020.44 $4,000.00

TOTAL $115,000.00 $115,000.00 $259,000.00

Funding Sources Approved Approved

20/21 Total CIP Budget Airport Operating Fund $115,000.00 $259,000.00

TOTAL $115,000.00 $259,000.00 The project is entirely funded through the Airport Operating Fund account.

Based on a review of the Airport Operating Funds reserve there are sufficient funds to cover the proposed budget of $115,000 for this phase, as well as future phases. No General Fund sources are used for this project. ENVIRONMENTAL COMPLIANCE This project is categorically exempt pursuant to the California Environmental Quality Act (“CEQA”) pursuant to Article 19, Sections 15301 and 15302, of Title 14 of the California Code of Regulations (“CEQA Guidelines”), because the project consists of the repair, maintenance, and minor alteration of existing public facilities involving negligible or no expansion of existing or former use. The removal of the unpermitted lighting fixtures and the installation of internal lighting for the individual hangars will repair and replace the already existing fixtures without changing the use of those facilities. Accordingly, there is negligible or no expansion of use beyond what currently exists and there are no cumulative impacts, unusual circumstances, or other factors that would make the exemptions inapplicable pursuant to CEQA Guidelines section 15300.2. ATTACHMENTS

1. Resolution 2. Location Map

Attachment 1

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RESOLUTION AUTHORIZING AWARD OF CONTRACT FOR THE PETALUMA MUNICIPAL - AIRPORT HANGAR AND APRON REPAIRS PROJECT (PHASE:

HANGAR ELECTRICAL REPAIRS AND UPGRADE) TO DC ELECTRIC GROUP, INC.

WHEREAS, the City of Petaluma Municipal Airport located at 601 Sky Ranch Dr.

serves as the only public airport for Petaluma including sales of fuel and general aviation operations and hangar rentals; and

WHEREAS, the existing non-compliant, un-permitted, and potentially hazardous

electrical modifications have been installed in a majority of the City owned and rented hangars by others; and

WHEREAS, staff wishes to make improvements to the Petaluma Municipal Airport

hangars to help increase safety, bring the hangars up to electrical code, and to continue to provide equal power for all hangar tenants; and

WHEREAS, City staff has prepared construction bid documents and advertised for

construction for the Petaluma Municipal Airport – Hangar and Apron Repairs Project (Phase: Hangar Electrical Repairs & Upgrade) (“Project”); and

WHEREAS, in accordance with the City of Petaluma Charter and Municipal Code, California Public Contract Code Section 20162 and other applicable law, City staff solicited bids for the Project; and

WHEREAS, the Project was bid on February 18, 2021. Three (3) bids were received and

opened on March 18, 2021 in accordance with applicable law; and WHEREAS, the lowest responsible bid for the Project was submitted by DC Electric

Group, Inc. from Cotati, CA for $77,979.56; and WHEREAS, the bid submitted by DC Electric Group, Inc. was found by staff to be fair

and reasonable; and satisfies the bidding requirements for the Project; and WHEREAS, staff has verified that DC Electric Group, Inc. possesses a valid California

Contractor’s License, Class C-10 (Electrical Contractor), number 949934 that qualifies Contractor to perform the Project; and

WHEREAS, the City has received no protests concerning the DC Electric Group, Inc

proposal and the time to protest the proposal has lapsed; and

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WHEREAS, the project is categorically exempt pursuant to the California Environmental Quality Act (“CEQA”) pursuant to Article 19, Sections 15301 and 15302, of Title 14 of the California Code of Regulations (“CEQA Guidelines”), because the removal of the unpermitted lighting fixtures and the installation of internal lighting for the individual hangars will repair and replace the already existing fixtures without changing the use of those facilities and there is negligible or no expansion of use beyond what currently exists and there are no cumulative impacts, unusual circumstances, or other factors that would make the exemptions inapplicable pursuant to CEQA Guidelines section 15300.2; and WHEREAS, the FY 20/21 CIP budget is sufficient to complete the project as bid.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Petaluma hereby: 1. Declares the above recitals to be true and correct and are incorporated into this resolution

as findings of the City Council. 2. Finds this project is categorically exempt pursuant to the California Environmental

Quality Act (“CEQA”) pursuant to Article 19, Sections 15301 and 15302, of Title 14 of the California Code of Regulations (“CEQA Guidelines”), because the project consists of the repair, maintenance, and minor alteration of existing public facilities involving negligible or no expansion of existing or former use. The removal of the unpermitted lighting fixtures and the installation of internal lighting for the individual hangars will repair and replace the already existing fixtures without changing the use of those facilities. Accordingly, there is negligible or no expansion of use beyond what currently exists and there are no cumulative impacts, unusual circumstances, or other factors that would make the exemptions inapplicable pursuant to CEQA Guidelines section 15300.2.

3. Approves the project budget for the Petaluma Municipal Airport – Hangar and Apron Repairs Project (Phase: Hangar Electrical Repairs & Upgrade).

4. In accordance with the City of Petaluma Charter and Municipal Code, California Public Contract Code Section 20162, and other applicable law, waives any and all non-conformance in the bid of DC Electric Group, Inc. for the Petaluma Municipal Airport – Hangar and Apron Repairs Project (Phase: Hangar Electrical Repairs & Upgrade), Project No. C61202014, finds that DC Electric Group, Inc., is the lowest responsible bidder with a bid of $77,979.56.

5. Awards the contract for the Petaluma Municipal Airport – Hangar and Apron Repairs Project (Phase: Hangar Electrical Repairs & Upgrade), Project No. C61202014 to DC Electric Group, Inc., in the amount of $77,979.56, the amount of the lowest responsive bid, conditioned on DC Electric Group, Inc.’s timely executing the project contract and submitting all required documents, including but not limited to, executed bonds, certificates of insurance, and endorsements, in accordance with the project bid documents.

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6. Authorizes and directs the City Manager to execute the project contract on behalf of the City of Petaluma upon timely submission by DC Electric Group, Inc., of the signed project contract and all other required document, including but not limited to, executed bonds, certificates of insurance, and endorsements, in accordance with the project bid documents.

7. Approves a construction contract contingency of $27,020.44.

Petaluma Municipal Airport - Hangar and Apron

Repairs Project (Phase: Hangar Electrical Repairs &

Upgrade)

C61202014

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PROJECT LOCATION MAP

City of Petaluma

Public Works and Utilities

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Attachment 2

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